Countrywide Waves Off Call for Probe

"I find these numbers alarming as reports continue to emerge about how Countrywide's reckless and predatory lending practices were a leading contributor to today's foreclosure crisis," Schumer wrote in the letter calling for the probe.

A spokesman for the FHLB of Atlanta did not immediately return a request for comment.

Countrywide has been struggling to stay afloat and find funding to originate mortgage loans as the credit crunch intensifies. As the markets for mortgage-backed securities essentially froze up in the summer, Countrywide faced a liquidity crisis so large that many investors feared the company would go under.

Among other things, in August, the lender drew down an entire $11.5 billion credit line. It also sought a $2 billion investment by Bank of America(BAC Quote) through the purchase of preferred stock. Countrywide said in September that it secured an additional $12 billion in borrowing through new or existing facilities.

The Calabasas, Calif.-based company has also been entangled in regulatory probes from the SEC and over CEO Angelo Mozilo's alleged accelerated stock sales, particularly as the housing industry began its descent.

Last week analysts feared once again that the company could go bankrupt after Freddie Mac(FRE Quote) reported a $2 billion net loss for the third quarter. The government-sponsored agency attributed the loss to increased money it needed to set aside for credit losses, as well as a markdown in the value of its assets. Earlier in the month, Fannie Mae(FNM Quote) also reported losses.